Let’s figure this out for Max

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Let’s think about this for Max’s sake.

Arguably the elements in F1 are comprised of:

Entertainment
End-user or fans
Television rights
Advertising
FIA (regulator)
Drivers and teams
Manufacturers
Technology
Politics
Money

Now I know I am missing a few and certainly you could launch into venues, merchandise etc. But for sake of argument let’s stop here. All these elements are symbiotic to each other and yet stand alone. A duality of disciplines if you will. Each element would be comprised of a revenue and cost center or base. Each element would carry a P&L and Balance Sheet. As a business, each must maximize profit and yet retain integrity to the other elements that are grafted to its performance. Each element would want the maximum return on the investment. Not necessarily minimal investment. Spending $300M is no small feat but the return must be well beyond the expense in order to justify the cost.

In the end game, it seems there is a fine line in F1 between technology, costs and the regulations that govern the sport. In so many cases this fine line is razor thin and yet regarding some issues it can be as wide as the English Channel. So what is the reality of reducing costs without adversely affecting the other elements in the wake of this reduction? Can we reduce costs on one element without adversely affecting other elements? How can we devise a plan that reduces cost across the entire element board or by virtue of reducing a few elements we get a natural reduction in the remaining elements?

Or should we all just shut up and relish a spec mentality for F1 and be happy with it. Or perhaps we could just watch more NASCAR.

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